----

| Delaware                                                       | 91-1506719                              |
|----------------------------------------------------------------|-----------------------------------------|
| (State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification Number) |
|                                                           |                                    |
| 1801-16th Avenue SW                                            |                                    |
| Seattle, WA                                                    | 98134                                   |
| (Address of principal executive offices)                       | (Zip Code)                              |

----

----

|                                      |   | Three Months Ended |   |   | Nine Months Ended |   |
|-------------------------------------------|--------|--------------------|--------|--------|-------------------|--------|
|                                      |   | 01/02/11           |   |   | 12/27/09          |   |   | 01/02/11 |   |   | 12/27/09 |   |
| Revenues                                  |   | $                  | 58,287 |   |              | $      | 47,129 |   |   | $ | 211,796 |   |   | $ | 131,335 |   |
| Operating expenses:                       |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Cost of revenue                           |   |               | 45,619 |   |              |   | 35,545 |   |   |   | 159,904 |   |   |   | 97,425 |   |
| Administrative and manufacturing overhead |   |               | 11,276 |   |              |   | 9,311 |   |   |   | 35,579 |   |   |   | 27,064 |   |
| Other insurance settlements               |   |               | (27    | )      |              |   | (24 | ) |   |   | (144 | ) |   |   | (62 | ) |
| Total operating expenses                  |   |               | 56,868 |   |              |   | 44,832 |   |   |   | 195,339 |   |   |   | 124,427 |   |
| Operating income                          |   |               | 1,419  |   |              |   | 2,297 |   |   |   | 16,457 |   |   |   | 6,908 |   |
| Investment and other income:              |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Lease income                              |   |               | 127    |   |              |   | 163 |   |   |   | 416 |   |   |   | 744 |   |
| Lease expense                             |   |               | (13    | )      |              |   | (12 | ) |   |   | (30 | ) |   |   | (47 | ) |
| Other income/(expense), net               |   |               | 228    |   |              |   | (77 | ) |   |   | 302 |   |   |   | 156 |   |
| Gain on available-for-sale securities     |   |               | 1      |   |              |   | (5 | ) |   |   | 71 |   |   |   | 49 |   |
| Total investment and other income         |   |               | 343    |   |              |   | 69 |   |   |   | 759 |   |   |   | 902 |   |
|                                      |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Income before income tax expense          |   |               | 1,762  |   |              |   | 2,366 |   |   |   | 17,216 |   |   |   | 7,810 |   |
| Income tax expense                        |   |               | (963   | )      |              |   | (783 | ) |   |   | (6,056 | ) |   |   | (2,636 | ) |
| Net income                                |   | $                  | 799    |   |              | $      | 1,583 |   |   | $ | 11,160 |   |   | $ | 5,174 |   |
|                                      |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Net income per common share               |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                     |   | $                  | 0.14   |   |              | $      | 0.27 |   |   | $ | 1.93 |   |   | $ | 0.90 |   |
| Diluted                                   |   | $                  | 0.14   |   |              | $      | 0.27 |   |   | $ | 1.92 |   |   | $ | 0.89 |   |
|                                      |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Dividends declared per common share       |   | $                  | -      |   |              | $      | 0.05 |   |   | $ | 0.18 |   |   | $ | 0.15 |   |
|                                      |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Weighted average shares outstanding       |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Basic                                     |   |               | 5,781  |   |              |   | 5,776 |   |   |   | 5,782 |   |   |   | 5,771 |   |
| Diluted                                   |   |               | 5,809  |   |              |   | 5,794 |   |   |   | 5,805 |   |   |   | 5,787 |   |
|                                      |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Retained earnings at beginning of period  |   | $                  | 95,915 |   |              | $      | 83,068 |   |   | $ | 86,564 |   |   | $ | 80,056 |   |
| Net income for the period                 |   |               | 799    |   |              |   | 1,583 |   |   |   | 11,160 |   |   |   | 5,174 |   |
| Dividends declared on common stock        |   |               | -      |   |              |   | (290 | ) |   |   | (1,010 | ) |   |   | (869 | ) |
| Retained earnings at end of period        |   | $                  | 96,714 |   |              | $      | 84,361 |   |   | $ | 96,714 |   |   | $ | 84,361 |   |

----

|                                                                                                                                                                                                                             |   | 01/02/11 |    |   | 03/28/10 |   |
|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|----------|---------|--------|----------|--------|
|                                                                                                                                                                                                                             |   |     |    |   |     |   |
| ASSETS                                                                                                                                                                                                                           |   |     |    |   |     |   |
| Cash and cash equivalents                                                                                                                                                                                                        |   | $        | 1,575   |   |     | $      | 8,171 |   |
| Securities available-for-sale                                                                                                                                                                                                    |   |     | 28,007  |   |     |   | 20,021 |   |
| Accounts receivable                                                                                                                                                                                                              |   |     |    |   |     |   |   |   |
| U.S. Government                                                                                                                                                                                                                  |   |     | 12,109  |   |     |   | 6,689 |   |
| Other, net                                                                                                                                                                                                                       |   |     | 13,160  |   |     |   | 15,592 |   |
| Costs and estimated profits in excess of billings on incomplete contracts                                                                                                                                                        |   |     | 25,166  |   |     |   | 20,675 |   |
| Inventory                                                                                                                                                                                                                        |   |     | 1,956   |   |     |   | 1,491 |   |
| Insurance receivable                                                                                                                                                                                                             |   |     | 447     |   |     |   | 447 |   |
| Restricted cash                                                                                                                                                                                                                  |   |     | 5,889   |   |     |   | - |   |
| Other current assets                                                                                                                                                                                                             |   |     | 3,647   |   |     |   | 2,068 |   |
| Deferred taxes                                                                                                                                                                                                                   |   |     | 1,131   |   |     |   | 402 |   |
| Total current assets                                                                                                                                                                                                             |   |     | 93,087  |   |     |   | 75,556 |   |
| Property, plant, and equipment, net                                                                                                                                                                                              |   |     | 28,211  |   |     |   | 29,716 |   |
| Restricted cash                                                                                                                                                                                                                  |   |     | 3,803   |   |     |   | 5,627 |   |
| Deferred pension assets                                                                                                                                                                                                          |   |     | 10,858  |   |     |   | 11,657 |   |
| Insurance receivable                                                                                                                                                                                                             |   |     | 6,869   |   |     |   | 7,180 |   |
| Intangible assets, net                                                                                                                                                                                                           |   |     | 1,323   |   |     |   | 1,553 |   |
| Goodwill                                                                                                                                                                                                                         |   |     | 1,109   |   |     |   | 1,109 |   |
| Other long-term assets                                                                                                                                                                                                           |   |     | 838     |   |     |   | 898 |   |
| Total assets                                                                                                                                                                                                                     |   | $        | 146,098 |   |     | $      | 133,296 |   |
|                                                                                                                                                                                                                             |   |     |    |   |     |   |   |   |
| LIABILITIES AND STOCKHOLDERS’ EQUITY                                                                                                                                                                                       |   |     |    |   |     |   |   |   |
| Accounts payable and accruals                                                                                                                                                                                                    |   | $        | 24,265  |   |     | $      | 16,635 |   |
| Line of credit                                                                                                                                                                                                                   |   |     | 2,100   |   |     |   | - |   |
| Accrued payroll and related liabilities                                                                                                                                                                                          |   |     | 2,685   |   |     |   | 3,586 |   |
| Billings in excess of costs and estimated profits on incomplete contracts                                                                                                                                                        |   |     | 10,024  |   |     |   | 13,624 |   |
| Environmental and other reserves                                                                                                                                                                                                 |   |     | 447     |   |     |   | 447 |   |
| Taxes payable other than income taxes                                                                                                                                                                                            |   |     | 794     |   |     |   | 1,559 |   |
| Income taxes payable                                                                                                                                                                                                             |   |     | -       |   |     |   | 676 |   |
| Total current liabilities                                                                                                                                                                                                        |   |     | 40,315  |   |     |   | 36,527 |   |
| Environmental and other reserves                                                                                                                                                                                                 |   |     | 8,264   |   |     |   | 10,415 |   |
| Accrued post retirement health benefits                                                                                                                                                                                          |   |     | 6,022   |   |     |   | 6,171 |   |
| Deferred taxes                                                                                                                                                                                                                   |   |     | 2,712   |   |     |   | 2,648 |   |
| Other non-current liabilities                                                                                                                                                                                                    |   |     | 2,695   |   |     |   | 2,133 |   |
| Total liabilities                                                                                                                                                                                                                |   |     | 60,008  |   |     |   | 57,894 |   |
| Stockholders’ equity                                                                                                                                                                                                       |   |     |    |   |     |   |   |   |
| Common stock $.01 par value, authorized 19,500,000 shares, issued 11,828,305 shares at January 2, 2011 and March 28, 2010, and outstanding 5,787,231 shares at January 2, 2011 and 5,775,691  shares at March 28, 2010 |   |     | 118     |   |     |   | 118 |   |
| Paid-in capital                                                                                                                                                                                                                  |   |     | 39,010  |   |     |   | 38,885 |   |
| Retained earnings                                                                                                                                                                                                                |   |     | 96,714  |   |     |   | 86,564 |   |
| Accumulated other comprehensive loss                                                                                                                                                                                             |   |     | (5,979  | )      |     |   | (6,308 | ) |
| Treasury stock (6,041,074 shares at January 2, 2011 and 6,052,614 at March 28, 2010)                                                                                                                                             |   |     | (43,773 | )      |     |   | (43,857 | ) |
| Total stockholders' equity                                                                                                                                                                                                       |   |     | 86,090  |   |     |   | 75,402 |   |
| Total liabilities and stockholders' equity                                                                                                                                                                                       |   | $        | 146,098 |   |     | $      | 133,296 |   |

----

|                                                                             |   | Nine Months Ended |    |
|----------------------------------------------------------------------------------|--------|-------------------|---------|
|                                                                             |   | 01/02/11          |    |   | 12/27/09 |   |
| OPERATING ACTIVITIES                                                             |   |              |    |   |   |   |
| Net income                                                                       |   | $                 | 11,160  |   |   | $ | 5,174 |   |
| Adjustments to reconcile net income to net cash provided by operating activities |   |              |    |   |   |   |   |   |
| Depreciation and amortization                                                    |   |              | 3,422   |   |   |   | 3,395 |   |
| (Gain) loss on disposal of fixed assets                                          |   |              | (3      | ) |   |   | 169 |   |
| Gain on available-for-sale securities                                            |   |              | (71     | ) |   |   | (49 | ) |
| Pension expense                                                                  |   |              | 799     |   |   |   | 1,615 |   |
| Post retirement health expense (benefit)                                         |   |              | (149    | ) |   |   | 54 |   |
| Deferred income tax                                                              |   |              | (570    | ) |   |   | (1,255 | ) |
| Stock based compensation                                                         |   |              | 209     |   |   |   | 196 |   |
| Change in operating assets and liabilities                                       |   |              |    |   |   |   |   |   |
| Accounts receivable                                                              |   |              | (2,988  | ) |   |   | (4,578 | ) |
| Costs and estimated profits in excess of billings on incomplete contracts        |   |              | (4,491  | ) |   |   | (5,021 | ) |
| Inventory                                                                        |   |              | (465    | ) |   |   | 132 |   |
| Insurance receivable                                                             |   |              | 311     |   |   |   | (15 | ) |
| Other assets                                                                     |   |              | (747    | ) |   |   | 59 |   |
| Accounts payable and accruals                                                    |   |              | 7,858   |   |   |   | 1,621 |   |
| Accrued payroll and related liabilities                                          |   |              | (901    | ) |   |   | (81 | ) |
| Billings in excess of costs and estimated profits on incomplete contracts        |   |              | (3,600  | ) |   |   | 606 |   |
| Environmental and other reserves                                                 |   |              | (2,151  | ) |   |   | 1,252 |   |
| Income taxes payable                                                             |   |              | (1,024  | ) |   |   | (621 | ) |
| Other liabilities                                                                |   |              | (329    | ) |   |   | (861 | ) |
| Net cash provided by operating activities                                        |   |              | 6,270   |   |   |   | 1,792 |   |
| INVESTING ACTIVITIES                                                             |   |              |    |   |   |   |   |   |
| Purchases of marketable securities                                               |   |              | (17,549 | ) |   |   | (7,411 | ) |
| Sales of marketable securities                                                   |   |              | 4,384   |   |   |   | 4,688 |   |
| Maturities of marketable securities                                              |   |              | 4,879   |   |   |   | 3,054 |   |
| Capital expenditures                                                             |   |              | (1,606  | ) |   |   | (1,493 | ) |
| Net cash used in investing activities                                            |   |              | (9,892  | ) |   |   | (1,162 | ) |
| FINANCING ACTIVITIES                                                             |   |              |    |   |   |   |   |   |
| Restricted cash                                                                  |   |              | (4,064  | ) |   |   | (1,481 | ) |
| Proceeds from line of credit borrowing                                           |   |              | 2,100   |   |   |   | - |   |
| Dividends paid on common stock                                                   |   |              | (1,010  | ) |   |   | (869 | ) |
| Net cash used in financing activities                                            |   |              | (2,974  | ) |   |   | (2,350 | ) |
| Net decrease in cash and cash equivalents                                        |   |              | (6,596  | ) |   |   | (1,720 | ) |
| Cash and cash equivalents at beginning of period                                 |   |              | 8,171   |   |   |   | 4,551 |   |
| Cash and cash equivalents at end of the period                                   |   | $                 | 1,575   |   |   | $ | 2,831 |   |
|                                                                             |   |              |    |   |   |   |   |   |
| Cash paid for income taxes                                                       |   |              | 7,810   |   |   |   | 4,450 |   |
| Cash paid for interest                                                           |   |              | 38      |   |   |   | - |   |
| Supplemental disclosures of non-cash information:                                |   |              |    |   |   |   |   |   |
| Liability for capital expenditure                                                |   |              | 78      |   |   |   | 67 |   |

----

----

----

----

----

----

|                                                              |   | Three Months Ended |   |   | Nine Months Ended |   |
|-------------------------------------------------------------------|--------|--------------------|--------|--------|-------------------|--------|
| (in thousands of dollars except per share data)                   |   | 01/02/11           |   |   | 12/27/09          |   |   | 01/02/11 |   |   | 12/27/09 |   |
|                                                              |   |               |   |   |              |   |   |   |   |   |   |   |
| Net income                                                        |   | $                  | 799    |   |              | $      | 1,583 |   |   | $ | 11,160 |   |   | $ | 5,174 |   |
| Weighted average common shares outstanding, basic                 |   |               | 5,781  |   |              |   | 5,776 |   |   |   | 5,782 |   |   |   | 5,771 |   |
| Dilutive effect of stock awards on weighted average common shares |   |               | 28     |   |              |   | 18 |   |   |   | 23 |   |   |   | 16 |   |
| Weighted average common shares outstanding, diluted               |   |               | 5,809  |   |              |   | 5,794 |   |   |   | 5,805 |   |   |   | 5,787 |   |
|                                                              |   |               |   |   |              |   |   |   |   |   |   |   |   |   |   |   |
| Net income per common share, diluted                              |   | $                  | 0.14   |   |              | $      | 0.27 |   |   | $ | 1.92 |   |   | $ | 0.89 |   |

----

| Restricted Stock Units |   |       |                       |      |                         |
|------------------------|--------|------------|----------------------------|-----------|------------------------------|
|                   |   |       |                       |      |                         |
| Number of Units        |   | Recipients | Grant Date                 |      | Value Per Unit At Grant Date |   | Vesting Period |
|                   | 9,600  |       | Officers                   | 7/1/2010  |                         | $ | 14.55 |   | 5 Years |
|                   | 4,500  |       | Non-employee Board Members | 8/20/2010 |                         | $ | 15.18 |   | 3 Years |
|                   | 9,600  |       | Officers                   | 7/1/2009  |                         | $ | 16.98 |   | 5 Years |
|                   | 4,500  |       | Non-employee Board Members | 8/21/2009 |                         | $ | 16.98 |   | 3 Years |
|                   | 9,600  |       | Officers                   | 7/1/2008  |                         | $ | 14.48 |   | 5 Years |
|                   | 5,250  |       | Non-employee Board Members | 8/22/2008 |                         | $ | 14.10 |   | 3 Years |
|                   | 16,000 |       | Officers                   | 7/6/2007  |                         | $ | 21.02 |   | 5 Years |

| Stock-settled Appreciation Rights |   |       |                       |      |                              |
|-----------------------------------|--------|------------|----------------------------|-----------|-----------------------------------|
|                              |   |       |                       |      |                              |   |   |
| Number of Units                   |   | Recipients | Grant Date                 |      | Fair Value Per Unit At Grant Date |   | Vesting Period |
|                              | 16,000 |       | Officers                   | 7/1/2010  |                              | $ | 4.33 |   | 3 Years |
|                              | 12,000 |       | Non-employee Board Members | 8/20/2010 |                              | $ | 4.70 |   | 3 Years |
|                              | 16,000 |       | Officers                   | 7/1/2009  |                              | $ | 3.67 |   | 3 Years |
|                              | 12,000 |       | Non-employee Board Members | 8/21/2009 |                              | $ | 3.67 |   | 3 Years |
|                              | 16,000 |       | Officers                   | 7/1/2008  |                              | $ | 2.38 |   | 3 Years |

| Black-Scholes Pricing Model |   |             |           |   |   |   |
|-----------------------------|--------|------------------|----------------|--------|--------|--------|
|                        |   |             |           |   |   |   |
|                        |   | 2011             |           |   | 2010   |   |
| Expected Volatility         |   | 39.72% to 39.85% |           |   |   | 38.35  | % |
| Expected term (in years)    |   |             | 4              |   |   |   | 4 |   |
| Risk-free interest rate     |   | 0.78% to 1.01%   |           |   |   | 1.88   | % |
| Expected Dividend           |   | 1.40% to 1.41%   |           |   |   | 1.50   | % |
| Fair Value per share        |   |             | $4.33 to $4.68 |   |   |   | $3.67 |   |

----

| Pension Benefits                              |   | Three Months Ended |   |   | Nine Months Ended |   |
|-----------------------------------------------|--------|--------------------|--------|--------|-------------------|--------|
| (in thousands of dollars)                     |   | 01/02/11           |   |   | 12/27/09          |   |   | 01/02/11 |   |   | 12/27/09 |   |
| Components of net periodic benefit cost       |   |               |   |   |              |   |   |   |   |   |   |   |
| Service cost                                  |   | $                  | 185    |   |              | $      | 137 |   |   | $ | 555 |   |   | $ | 411 |   |
| Interest cost on projected benefit obligation |   |               | 379    |   |              |   | 424 |   |   |   | 1,137 |   |   |   | 1,272 |   |
| Expected return on plan assets                |   |               | (642   | )      |              |   | (522 | ) |   |   | (1,926 | ) |   |   | (1,566 | ) |
| Recognized actuarial loss                     |   |               | 341    |   |              |   | 497 |   |   |   | 1,023 |   |   |   | 1,491 |   |
| Amortization of prior service cost            |   |               | 3      |   |              |   | 3 |   |   |   | 9 |   |   |   | 9 |   |
| Net periodic cost                             |   | $                  | 266    |   |              | $      | 539 |   |   | $ | 798 |   |   | $ | 1,617 |   |

| Other Post Retirement Benefits                |   | Three Months Ended |   |   | Nine Months Ended |   |
|-----------------------------------------------|--------|--------------------|--------|--------|-------------------|--------|
| (in thousands of dollars)                     |   | 01/02/11           |   |   | 12/27/09          |   |   | 01/02/11 |   |   | 12/27/09 |   |
| Components of net periodic benefit cost       |   |               |   |   |              |   |   |   |   |   |   |   |
| Interest cost on projected benefit obligation |   | $                  | 104    |   |              | $      | 162 |   |   | $ | 312 |   |   | $ | 486 |   |
| Recognized actuarial gain                     |   |               | (2     | )      |              |   | (39 | ) |   |   | (6 | ) |   |   | (117 | ) |
| Amortization of net gain                      |   |               | (152   | )      |              |   | (105 | ) |   |   | (456 | ) |   |   | (315 | ) |
| Net periodic cost (benefit)                   |   | $                  | (50    | )      |              | $      | 18 |   |   | $ | (150 | ) |   | $ | 54 |   |

----

| (In thousands of dollars)           |   | Cash   |   |   | Level 1 Estimated Fair Value |   |   | Level 2 Estimated Fair Value |   |   | Level 3 Estimated Fair Value |   |   | Total Estimated Fair Value |   |
|-------------------------------------|--------|--------|--------|--------|------------------------------|--------|--------|------------------------------|--------|--------|------------------------------|--------|--------|----------------------------|--------|
|                                |   |   |   |   |                         |   |   |                         |   |   |                         |   |   |                       |   |
| Cash                                |   | $      | 2      |   |                         |   | -      |                         |   |   | -                            |   |   |                       | -      |   |   | $ | 2 |   |
| Money Market Funds                  |   |   | -      |   |                         |   | 1,523  |                         |   |   | -                            |   |   |                       | -      |   |   |   | 1,523 |   |
| Domestic Common Stock               |   |   | -      |   |                         |   | 20,430 |                         |   |   | -                            |   |   |                       | -      |   |   |   | 20,430 |   |
| Foreign Common Stock                |   |   | -      |   |                         |   | 2,872  |                         |   |   | 2,715                        |   |   |                       | -      |   |   |   | 5,587 |   |
| US Government and Agency Securities |   |   | -      |   |                         |   | -      |                         |   |   | 8,254                        |   |   |                       | -      |   |   |   | 8,254 |   |
| Corporate Debt Securities           |   |   | -      |   |                         |   | -      |                         |   |   | 7,074                        |   |   |                       | -      |   |   |   | 7,074 |   |
| Total                               |   | $      | 2      |   |                         | $      | 24,825 |                         |   | $      | 18,043                       |   |   | $                          | -      |   |   | $ | 42,870 |   |

|                                                    |   | Gross  |   |   | Net    |   |
|---------------------------------------------------------|--------|--------|--------|--------|--------|--------|
| March 28, 2010 balance                                  |   | $      | 529    |   |   | $      | 180 |   |
| Additions based on current year tax positions           |   |   | -      |   |   |   | - |   |
| Additions for prior years' tax positions                |   |   | -      |   |   |   | - |   |
| Reductions for prior year's tax positions               |   |   | -      |   |   |   | - |   |
| Reductions due to a lapse of the statute of limitations |   |   | (308   | )      |   |   | (103 | ) |
| Settlements with tax authorities                        |   |   | -      |   |   |   | - |   |
| January 2, 2011 balance                                 |   | $      | 221    |   |   | $      | 77 |   |

----

|                                |   | Cash   |   |   | Level 1 Estimated Fair Value |   |   | Level 2 Estimated Fair Value |   |   | Level 3 Estimated Fair Value |   |   | Total Estimated Fair Value |   |
|-------------------------------------|--------|--------|--------|--------|------------------------------|--------|--------|------------------------------|--------|--------|------------------------------|--------|--------|----------------------------|--------|
|                                |   |   |   |   |                         |   |   |                         |   |   |                         |   |   |                       |   |
| Cash and Restricted Cash            |   | $      | 10,876 |   |                         |   | -      |                         |   |   | -                            |   |   |                       | -      |   |   | $ | 10,876 |   |
| Money Market Funds                  |   |   | -      |   |                         |   | 391    |                         |   |   | -                            |   |   |                       | -      |   |   |   | 391 |   |
| US Government and Agency Securities |   |   | -      |   |                         |   | 1,522  |                         |   |   | 10,257                       |   |   |                       | -      |   |   |   | 11,779 |   |
| Corporate Debt Securities           |   |   | -      |   |                         |   | -      |                         |   |   | 16,228                       |   |   |                       | -      |   |   |   | 16,228 |   |
| Total                               |   | $      | 10,876 |   |                         | $      | 1,913  |                         |   | $      | 26,485                       |   |   | $                          | -      |   |   | $ | 39,274 |   |

|                           |   | 01/02/11 |    |   | 03/28/10 |   |
|--------------------------------|--------|----------|---------|--------|----------|--------|
|                           |   |     |    |   |     |   |
| Land and buildings             |   | $        | 27,611  |   |     | $      | 27,565 |   |
| Drydocks                       |   |     | 16,976  |   |     |   | 16,789 |   |
| Piers and wharves              |   |     | 26,673  |   |     |   | 26,514 |   |
| Computer hardware              |   |     | 2,221   |   |     |   | 1,958 |   |
| Computer software              |   |     | 3,917   |   |     |   | 3,645 |   |
| Equipment                      |   |     | 34,220  |   |     |   | 33,668 |   |
|                           |   |     |    |   |     |   |   |   |
| Property and equipment, gross  |   |     | 111,618 |   |     |   | 110,139 |   |
|                           |   |     |    |   |     |   |   |   |
| Less: accumulated depreciation |   |     | (83,407 | )      |     |   | (80,423 | ) |
|                           |   |     |    |   |     |   |   |   |
| Property and equipment, net    |   | $        | 28,211  |   |     | $      | 29,716 |   |

----

|                   |   | CostBasis |   |   | Accumulated Amortization |   |   | Net BookValue |   |   | Weighted AverageUseful Life(in years) |   |
|------------------------|--------|-----------|--------|--------|--------------------------|--------|--------|---------------|--------|--------|---------------------------------------|--------|
|                   |   |      |   |   |                     |   |   |          |   |   |                                  |   |
| Customer base          |   | $         | 1,402  |   |                     | $      | (482   | )             |   | $      | 920                                   |   |   |   | 8 |   |
| Non-compete agreements |   |      | 603    |   |                     |   | (332   | )             |   |   | 271                                   |   |   |   | 5 |   |
| Trade name             |   |      | 161    |   |                     |   | (29    | )             |   |   | 132                                   |   |   |   | 15 |   |
| Total                  |   | $         | 2,166  |   |                     | $      | (843   | )             |   | $      | 1,323                                 |   |   |   |   |   |

| Years ending March                           |   | Amortization of Intangible Assets |   |
|----------------------------------------------|--------|-----------------------------------|--------|
|                                         |   |                              |   |
| 2011 (January 3, 2011 through April 3, 2011) |   | $                                 | 76     |   |
| 2012                                         |   |                              | 307    |   |
| 2013                                         |   |                              | 307    |   |
| 2014                                         |   |                              | 186    |   |
| 2015                                         |   |                              | 186    |   |
| Thereafter                                   |   |                              | 261    |   |
| Total                                        |   | $                                 | 1,323  |   |

----

----

----

----

----

----

----

----

| ·   | Cheryl Marshall v. Todd Shipyards Corporation, et. al., Case No. 10-2-4502701; |
|--------------------|--------------------------------------------------------------------------------|

| ·   |  Karl Graulich  v. Todd Shipyards Corporation, et. al., Case No. 10-2-45398-9; |
|--------------------|-----------------------------------------------------------------------------------------------|

| ·   | Oscar Lee Walker v. Todd Shipyards Corporation, et. al., Case No. 11-2-02713-9; and |
|--------------------|-------------------------------------------------------------------------------------|

| ·   | Renee Sternheim and Isaac Sternheim  v. Todd Shipyards Corporation, et. al., Case No. 11-2-03059-8. |
|--------------------|---------------------------------------------------------------------------------------------------------------|

----

| No. 2.1  | Agreement and Plan of Merger, dated as of December 22, 2010, by and among Todd Shipyards Corporation, Nautical Miles, Inc. and Vigor Industrial LLC*                                                                                                                                                                   |
|----------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|     |                                                                                                                                                                                                                                                                                                                   |
| No. 10.4 | Tender and Support Agreement, dated as of December 22, 2010, by and among Vigor Industrial LLC, Nautical Miles, Inc., Brent D. Baird, Steven A. Clifford, Patrick W.E. Hodgson, Joseph D. Lehrer, William L. Lewis, J. Paul Reason, Stephen G. Welch, Michael G. Marsh, Berger A. Dodge and Woodbourne Partners, L.P.* |
|     |                                                                                                                                                                                                                                                                                                                   |
| No. 10.5 | Transition Agreement, dated as of December 22, 2010, by and between Todd Pacific Shipyards Corporation and Michael G. Marsh*                                                                                                                                                                                           |
|     |                                                                                                                                                                                                                                                                                                                   |
| No. 10.6 | Transition Agreement, dated as of December 22, 2010, by and between Todd Pacific Shipyards Corporation and Berger A. Dodge*                                                                                                                                                                                            |
|     |                                                                                                                                                                                                                                                                                                                   |
| No. 31.1 | Certification of Chief Executive Officer in accordance with Rule 13a-14a or 15d-14 of the Securities Exchange Act of 1934 as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith)                                                                                                        |
|     |                                                                                                                                                                                                                                                                                                                   |
| No. 31.2 | Certification of Chief Financial Officer in accordance with Rule 13a-14a or 15d-14 of the Securities Exchange Act of 1934 as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002 (filed herewith)                                                                                                        |
|     |                                                                                                                                                                                                                                                                                                                   |
| No. 32.1 | Certification of Chief Executive Officer pursuant to Rule 14(b) and section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of title 18, United States Code (furnished herewith)**                                                                                          |
|     |                                                                                                                                                                                                                                                                                                                   |
| No. 32.2 | Certification of Chief Financial Officer pursuant to Rule 14(b) and section 906 of the Sarbanes-Oxley Act of 2002 (subsections (a) and (b) of section 1350, chapter 63 of title 18, United States Code (furnished herewith)**                                                                                          |
|     |                                                                                                                                                                                                                                                                                                                   |
| No. 99.1 | Press Release dated February 3, 2011 announcing financial results for our quarterly period ended January 2, 2011 (furnished herewith)**                                                                                                                                                                                |

----

----